Maximum likelihood estimation

once I provide values for parameters to estimate (which I set to 1 because I have absolutely no idea about their possible value) I have the following message:
Error using print_info (line 74)
Impossible to find the steady state. Either the model doesn’t have a steady state, there
are an infinity of steady states, or the guess values are too far from the solution

Error in stoch_simul (line 85)
print_info(info, options_.noprint, options_);

Error in dynar (line 466)
info = stoch_simul(var_list_);

Error in dynare (line 174)
evalin(‘base’,fname) ;

You should have an idea what a sensible parameterization might look like. Note that for autoregressive parameters 1 makes no sense (unit root). Start with 0 for them.
Regarding the steady state: finding it is hard. Try providing better starting values or, even better, analytically computing it given the parameters. The latter will facilitate estimation.

I solved analitically the steady state (value are very very low I dont understand why, I found the calibration parameters on the literature) with the new values, here is the problem.

You did not declare endogenous variables after the estimation/calib_smoother command.

Loading 203 observations from data3.xlsx

An infinite element was encountered when trying to solve equation(s) 11
with respect to the variable(s): gF.
The values of the endogenous variables when the problem was encountered were:
yF 0.05
cF 0.01
xF 0.01
kF 0.08
lF 0.07
zF 1
tlF 1.5
txF 1
gF 0.2044
pF 1
O 0.001

Error using lnsrch1 (line 71)
Some element of Newton direction isn’t finite. Jacobian maybe singular or there is a
problem with initial values

Error in solve1 (line 107)
[x,f,fvec,check]=lnsrch1(xold,fold,g,p,stpmax,func,j1,j2,varargin{:});

Error in dynare_solve (line 150)
[x,info]=solve1(func,x,j1(r(i):r(i+1)-1),j2(r(i):r(i+1)-1),jacobian_flag, …

Error in evaluate_steady_state (line 66)
[ys,check] = dynare_solve([M.fname ‘_static’],…

Error in dynare_estimation_init (line 496)
[oo_.steady_state, params] =
evaluate_steady_state(oo_.steady_state,M,options_,oo_,steadystate_check_flag);

Error in dynare_estimation_1 (line 81)
[dataset_,xparam1, hh, M_, options_, oo_, estim_params_,bayestopt_] =
dynare_estimation_init(var_list_, dname, ], M_, options_, oo_, estim_params_,
bayestopt_);

Error in dynare_estimation (line 84)
dynare_estimation_1(var_list,dname);

Error in dynar (line 470)
dynare_estimation(var_list_);

Error in dynare (line 174)
evalin(‘base’,fname) ;

Please post the updated mod-file

Please find attached the mod file
dynar.mod (2.76 KB)

That is an old version with the autoregressive parameters being 1 and not 0, no

steady; check;
and not attempt to provide an analytical steady state.

sorry here is the file
dynar.mod (2.77 KB)

It works with the most recent unstable version and
steady(solve_algo=4,maxit=10000);

thanks again for your patience, it does not work for me, now I see:
SOLVE: Iteration 18
Spurious convergence.
1.9556
1.4376
0.5012
16.2021
0.6062
0
0
0
0
0
0.0010

Residuals of the static equations:

Equation number 1 : 0.67993
Equation number 2 : -0.62894
Equation number 3 : 0.10311
Equation number 4 : -0.0042346
Equation number 5 : 0.016835
Equation number 6 : -1.6854
Equation number 7 : 0
Equation number 8 : 0
Equation number 9 : 0
Equation number 10 : 0
Equation number 11 : 0

Error using print_info (line 74)
Impossible to find the steady state. Either the model doesn’t have a
steady state, there are an infinity of steady states, or the guess
values are too far from the solution

Error in steady (line 92)
print_info(info,options_.noprint, options_);

Error in dynar (line 468)
steady;

Error in dynare (line 174)
evalin(‘base’,fname) ;

Try the initial values:

[quote]STEADY-STATE RESULTS:

yF 3.31917
cF 2.35755
xF 1.06974
kF 36.6212
lF 0.72565
zF 0.170712
tlF 0.00580193
txF -0.00172746
gF -0.0541062
pF 0.000448175
O 3.78655
[/quote]

doesn’t work even with this new values. I will give up for the moment, thank you very much for your help professor